It’s the situation every landlord dreads: you have a signed lease with a tenant for your property, they’re all moved in, and now they’re causing problems. Depending on the severity of the issues, a simple conversation is all that’s needed. Other issues prove more challenging, so we’ve come up with some tips on the best ways to handle a problem tenant.

Know the Law

The first thing you need to do is research the laws governing rental properties in your area. They vary by state and city, so be sure to get very specific in looking up all the laws that apply to your area. There are statutes designed to prevent landlords from taking advantage of their tenants, but there are also laws that protect landlords. Know your rights and know the rights of your tenants.

Update Your Lease

Ideally, you want to do this try to avoid any problems before they begin by including terms in your lease that define problem areas and what the consequences will be to tenants who don’t act in accordance with the lease agreement. The lease is a contract that defines the relationship between the landlord and the tenant, so it is of the utmost importance that you make your expectations clear in the lease.

In the event that doing so doesn’t successfully avoid problems, it can help you deal with problems when they do arise by laying down the groundwork and a procedure for how you should act if a tenant becomes a problem. If a tenant does become problematic, be sure to stick to your own policies and procedures when dealing with the problem.

Document Everything

This starts with the lease and should go all the way up to eviction (if it comes to that). You should also have your own incident reports people can fill out any time there’s a complaint, and keep in mind this should go both ways. While you’re documenting every time your tenant causes problems, you should also give them a chance to document complaints against you. Provide them with a report they can fill out and make sure you both keep a copy of that report. The report should also include if and how you handled the situation so you can avoid any surprises coming back to bite you.

Any time you get an email or text message from neighbors complaining about your tenant, keep all those emails so you have a record of complaints. Also keep emails and text messages exchanged between you and your tenant and keep notes of conversations and phone calls, even the positive ones.

Late rent payments, warnings, notices served, complaints, and maintenance requests should also all be carefully documented.

If the cops are ever called to come to your rental unit and there’s a police report, get a copy of that report.

Keep It Professional

Plenty of problem tenants have their share of sob stories, and while you should always be respectful and understanding, you are not there to dole out favors. You are there to run a business, and if they’re not holding up their end of the agreement, for any reason, you need to act in accordance with your policies and procedures.

If you have any other questions about how to handle a tenant who’s causing problems for you, don’t hesitate to contact an experienced attorney today.

The attorneys at Sherer Law Offices have been providing legal representation for real estate cases, criminal cases, and all types of family law for more than 25 years. Our experienced divorce attorneys will take the time to really listen to your unique situation so that they can plan strategies that can best protect your best interests.

The answer to this question, simply put, is no. When it comes to owning property, a married couple has to abide by the same rules that two business partners would, which means you both have to get the other person’s permission to take any action involving your property.

Basic Facts

Under Illinois law, all property acquired during the marriage, is considered marital property, regardless of how the property is titled. For most couples, when they buy property, they sign documents involving ownership and payment agreements. But even if you aren’t on the title to property, the house is presumed to be marital property if purchased at any point after the date of marriage, with some exceptions. Also, if you and your spouse took out a loan to pay for the property, you would have signed a document stating that you are both responsible for the monthly loan payment. Again, the same rules apply to debts in a marriage as property: if the mortgage was signed after the date of marriage, it is a marital debt even if only one spouse is on the loan itself.

Because a house that was acquired after the marriage is marital, you and your soon-to-be ex must have each other’s permission to do conduct any sort of transaction regarding the property, particularly if you are going through a divorce. This is always the case unless the deed states that a certain percentage of ownership has been assigned to each spouse, or whether your spouse’s ownership percentage specifically allows them to act on their percentage without your permission.

Haven’t spoken to your spouse in a while? If you are estranged with your spouse, they must still get your permission to lease out the property. The lease will be null and void without your signature.

What Can You Do?

If you find out your soon-to-be-ex has rented the property without your permission, there are few things you need to look into. First, you should contact your mortgage lender to see if renting out the property is even an option. Some mortgage lenders to not allow subletting your property while you are paying your mortgage, and they will be able to take legal action to stop it. If you rent out your property without the permission of the mortgage lender, they can assess fees against you and even repossess the property. Finally, if your ex has been collecting rent, you can request half of the money collected, and you need to take legal action to get your portion, at minimum within the divorce proceeding.

If you decide to agree with renting out the property, you need to put in writing how the rent money will be divided in order to avoid lawsuits in the future. If you no longer wish to have any involvement in the property, you can file a quick claim deed in your county courthouse to have ownership rights transferred over. However, it is advisable to first ensure that your spouse removes you from any loans associated with the property before you relinquish your legal interest. Once you’re divorced and legally removed from the deed and any mortgages, you can be free of any further liability with the property.

Important Things to Know

Each state has its own laws governing how property is handled during a divorce. Illinois law requires that the division be equitable and fair, but note that this does not always mean “50-50” as many assume. As discussed above, it also depends on if the property is marital property or separate property. Just because property was acquired before the marriage does not always mean it stays separate property either, as sometimes marital property gets mixed together with separate property, causing a conversion to marital property. . If you are unsure about your property rights during a divorce, you need to seek the advice of a qualified divorce attorney to protect your rights.

Understanding property laws, marital law, and division of property during a divorce is not an easy task. You need the advice of a qualified attorney who practices in real estate lawand divorce law. At Sherer Law Offices, our attorneys will advise you through the entire process so that you can get through this difficult time.CONTACT US TODAY!

Buying rental property can be a great way to build your wealth. There a very few differences between buying your own home and buying rental property. Here are a few things you need to know before you begin investing in real estate.

Do Your Homework

This part can be difficult because you might not know what questions to ask. Some of the questions you might want to ask include:

What type of investment property are you interested in?

How much property can you afford to buy?

What neighborhood would you like to invest in?

What is the average rental price for property in that area?

What type of return on your investment are you looking for?

To answer these questions, you need to consult with some experts. Contact your banker or even a real estate attorney for advice and answers to your questions.

Make Your Plan

It is recommended that you put your plan down on paper to make it easier to refer back to when necessary. This is where you will decide how much house you can afford to buy. Set your price and stick to your goal. You don’t want to get distracted by a house that is way over your budget. By putting down your plan you will be able to stay true to your goals.

Pre-Arrange Financing

The most common mistake that home buyers make is not having arranged their financing ahead of time. If you go out searching for a home without having financing already in place, you run the risk of missing out on the perfect property. Having financing in place will also help you stay true to your goals, and your budget, by having a set amount to spend already in place. Be sure to talk to your banker about your spending limit before you go out looking for your rental property.

Find Your Property and Make an Offer

There are a lot of great ways to find a property to invest in. You can look on real estate sites such as Realtor.com or Zillow.com. You can even work with a real estate agent to find the property that is perfect for you. Typically, a real estate agent is paid by the seller when you buy a home. So for you, using your own “buyer’s real agent” is at no cost to you personally. (Note: This applies more to a home already listed by an agent, as a seller for a home “by owner” may be less negotiable on price if they agreed to pay your buyer’s agent commission.) A word of advice as well is that it might be helpful to find an agent that specializes in working with investors. They will be more aware of what makes a good rental property, and they will be able to help you stick to your goals by only showing you property that is in your price range.

Once you have found a property you would like to buy, the next step would be to make an offer. The real estate agent will complete the paperwork and submit the offer to the seller. There will most likely be some negotiation. Keep your purchase amount in mind and be willing to walk away if things don’t go your way. If you can’t agree on a price that is suitable for you, then it’s time to look elsewhere. Not having a deal is better than being stuck with a bad deal.

If you are successful with your offer, there are a few things you need to remember regarding the nuts and bolts of the purchase agreement. Some of these include the closing date deadlines, inspection contingencies and deadlines for requests to make repairs, the seller’s financial concessions, and more. All of these things are part of your offer and should be spelled out clearly in any well-written contract. Do your due diligence and do what you have to do according to your agreement with the seller. Also, it is always recommended that you hire an inspector to inspect the property. If something is found, you may need to go back and re-negotiate with the seller on who will conduct the repairs and/or whether there will be a reduction of sale price in lieu of repairs. This is an extremely important step, as you don’t want to get stuck with a property that eats into your expected profits due to costly maintenance issues.

You Are Now a Landlord

The deal has been done and now you are a landlord! Now it is time to learn how to rent out your property, how to be a successful landlord, and how to screen your prospective tenants. Some helpful links include:

There are so many things for you to consider when investing in a rental property. The smartest thing you can to is contact an experienced real estate attorney at Sherer Law Offices. We can walk you through the steps you need to make the best investment possible. We also will review real estate contracts and help steer you in the right direction for buying your rental property.